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  • TikTok says it has 150 million US users amid renewed calls for a ban | CNN Business

    TikTok says it has 150 million US users amid renewed calls for a ban | CNN Business

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    CNN
     — 

    TikTok now has 150 million monthly active users in the United States, CEO Shou Chew confirmed on Tuesday, in a clear attempt to highlight the platform’s vast and growing reach in the country amid renewed calls for a ban.

    “That’s almost half the US coming to TikTok to connect, to create, to share, to learn, or just to have some fun,” Chew said in a TikTok video on Tuesday. The figure also includes about five million businesses that use TikTok to reach customers, Chew said.

    The new disclosure comes just days before Chew is scheduled to appear before a Congressional committee to defend the fate of the app in the United States. A growing number of lawmakers in the United States and abroad have raised national security concerns about the short-form video app because of TikTok’s ties to China through its parent company, ByteDance.

    TikTok acknowledged to CNN last week week that federal officials are demanding the app’s Chinese owners sell their stake in the social media platform, or risk facing a US ban of the app. In 2020, when the Trump administration made a similar threat, TikTok said it had 100 million US users.

    “Now, this comes at a pivotal moment for us,” Chew said in the video Tuesday. “Some politicians have started talking about banning TikTok, now this could take TikTok away from all 150 million of you.”

    “I’ll be testifying before Congress later this week to share all that we’re doing to protect Americans using the app and deliver on our mission to inspire creativity and to bring joy,” Chew added.

    The Singaporean chief executive ended his brief video by appealing to users on the app to leave comments on the clip telling lawmakers directly, “What you want your elected representatives to know about what you love about TikTok.”

    Chew is scheduled to appear before the House Energy and Commerce Committee on Thursday morning to “testify on TikTok’s consumer privacy and data security practices, the platforms’ impact on kids, and its relationship with the Chinese Communist Party,” according to a statement last week from the committee.

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  • Lawmakers say TikTok is a national security threat, but evidence remains unclear | CNN Business

    Lawmakers say TikTok is a national security threat, but evidence remains unclear | CNN Business

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    CNN
     — 

    As TikTok CEO Shou Zi Chew prepares for his first congressional grilling on Thursday, much of the focus will undoubtedly be on the short-form video app’s potential national security risks.

    Concerns about TikTok’s connections to China have led governments worldwide to ban the app on official devices, and those fears have factored into the increasingly tense US-China relationship. The Biden administration has threatened TikTok with a nationwide ban unless its Chinese owners sell their stakes in the company.

    But more than two years after the Trump administration first issued a similar threat to TikTok, security experts say the government’s fears, while serious, currently appear to reflect only the potential for TikTok to be used for foreign intelligence, not that it has been. There is still no public evidence the Chinese government has actually spied on people through TikTok.

    TikTok doesn’t operate in China. But since the Chinese government enjoys significant leverage over businesses under its jurisdiction, the theory goes that ByteDance, and thus indirectly, TikTok, could be forced to cooperate with a broad range of security activities, including possibly the transfer of TikTok data.

    “It’s not that we know TikTok has done something, it’s that distrust of China and awareness of Chinese espionage has increased,” said James Lewis, an information security expert at the Center for Strategic and International Studies. “The context for TikTok is much worse as trust in China vanishes.”

    When Rob Joyce, the National Security Agency’s director of cybersecurity, was asked by reporters in December to articulate his security concerns about TikTok, he offered a general warning rather than a specific allegation.

    “People are always looking for the smoking gun in these technologies,” Joyce said. “I characterize it much more as a loaded gun.”

    Technical experts also draw a distinction between the TikTok app — which appears to operate very similarly to American social media in the amount of user tracking and data collection it performs — and TikTok’s approach to governance and ownership. It’s the latter that’s been the biggest source of concern, not the former.

    The US government has said it’s worried China could use its national security laws to access the significant amount of personal information that TikTok, like most social media applications, collects from its US users.

    The laws in question are extraordinarily broad, according to western legal experts, requiring “any organization or citizen” in China to “support, assist and cooperate with state intelligence work,” without defining what “intelligence work” means.

    Should Beijing gain access to TikTok’s user data, one concern is that the information could be used to identify intelligence opportunities — for example, by helping China uncover the vices, predilections or pressure points of a potential spy recruit or blackmail target, or by building a holistic profile of foreign visitors to the country by cross-referencing that data against other databases it holds. Even if many of TikTok’s users are young teens with seemingly nothing to hide, it’s possible some of those Americans may grow up to be government or industry officials whose social media history could prove useful to a foreign adversary.

    Another concern is that if China has a view into TikTok’s algorithm or business operations, it could try to exert pressure on the company to shape what users see on the platform — either by removing content through censorship or by pushing preferred content and propaganda to users. This could have enormous repercussions for US elections, policymaking and other democratic discourse.

    Security experts say these scenarios are a possibility based on what’s publicly known about China’s laws and TikTok’s ownership structure, but stress that they are hypothetical at best. To date, there is no public evidence that Beijing has actually harvested TikTok’s commercial data for intelligence or other purposes.

    Chew, the TikTok CEO, has publicly said that the Chinese government has never asked TikTok for its data, and that the company would refuse any such request.

    If there’s a risk, it’s primarily concentrated in the relationship between TikTok’s Chinese parent, ByteDance, and Beijing. The main issue is that the public has few ways of verifying whether or how that relationship, if it exists, might have been exploited.

    TikTok has been erecting technical and organizational barriers that it says will keep US user data safe from unauthorized access. Under the plan, known as Project Texas, the US government and third-party companies such as Oracle would also have some degree of oversight of TikTok’s data practices. TikTok is working on a similar plan for the European Union known as Project Clover.

    But that hasn’t assuaged the doubts of US officials, likely because no matter what TikTok does internally, China would still theoretically have leverage over TikTok’s Chinese owners. Exactly what that implies is ambiguous, and because it is ambiguous, it is unsettling.

    In congressional testimony, TikTok has sought to assure US lawmakers it is free from Chinese government influence, but it has not spoken to the degree that ByteDance may be susceptible. TikTok has also acknowledged that some China-based employees have accessed US user data, though it’s unclear for what purpose, and it has disclosed to European users that China-based employees may access their data as part of doing their jobs.

    Multiple privacy and security researchers who’ve examined TikTok’s app say there aren’t any glaring flaws suggesting the app itself is currently spying on people or leaking their information.

    In 2020, The Washington Post worked with a privacy researcher to look under the hood at TikTok, concluding that the app does not appear to collect any more data than your typical mainstream social network. The following year, Pellaeon Lin, a Taiwan-based researcher at the University of Toronto’s Citizen Lab, performed another technical analysis that reached similar conclusions.

    But even if TikTok collects about the same amount of information as Facebook or Twitter, that’s still quite a lot of data, including information about the videos you watch, comments you write, private messages you send, and — if you agree to grant this level of access — your exact geolocation and contact lists. TikTok’s privacy policy also says the company collects your email address, phone number, age, search and browsing history, information about what’s in the photos and videos you upload, and if you consent, the contents of your device’s clipboard so that you can copy and paste information into the app.

    TikTok’s source code closely resembles that of its China-based analogue, Douyin, said Lin in an interview. That implies both apps are developed on the same code base and customized for their respective markets, he said. Theoretically, TikTok could have “privacy-violating hidden features” that can be turned on and off with a tweak to its server code and that the public might not know about, but the limitations of trying to reverse-engineer an app made it impossible for Lin to find out whether those configurations or features exist.

    If TikTok used unencrypted communications protocols, or if it tried to access contact lists or precise geolocation data without permission, or if it moved to circumvent system-level privacy safeguards built into iOS or Android, then that would be evidence of a problem, Lin said. But he found none of those things.

    “We did not find any overt vulnerabilities regarding their communication protocols, nor did we find any overt security problems within the app,” Lin said. “Regarding privacy, we also did not see the TikTok app exhibiting any behaviors similar to malware.”

    TikTok has faced claims that its in-app browser tracks its users’ keyboard entries, and that this type of conduct, known as keylogging, could be a security risk. The privacy researcher who performed the analysis last year, Felix Krause, said that keylogging is not an inherently malicious activity, but it theoretically means TikTok could collect passwords, credit card information or other sensitive data that users may submit to websites when they visit them through TikTok’s in-app browser.

    There is no public evidence TikTok has actually done that, however. TikTok has said the keylogging function is used for “debugging, troubleshooting, and performance monitoring,” as well as to detect bots and spam. Other research has shown that the use of keyloggers is extremely widespread in the technology industry. That does not necessarily excuse TikTok or its peers for using a keylogger in the first place, but neither is it proof positive that TikTok’s product, by itself, is any more of a national security threat than other websites.

    There have also been a number of studies that report TikTok is tracking users around the internet even when they are not using the app. By embedding tracking pixels on third-party websites, TikTok can collect information about a website’s visitors, the studies have found. TikTok has said it uses the data to bolster its advertising business. And in this respect, TikTok is not unique: the same tool is used by US tech giants including Facebook-parent Meta and Google on a far larger scale, according to Malwarebytes, a leading cybersecurity firm.

    As with the keylogging tech, the fact TikTok uses tracking pixels does not on its own transform the company into a national security threat; the risk is that the Chinese government could compel or influence TikTok, through ByteDance, to abuse its data collection capabilities.

    Separately, a report last year found TikTok was spying on journalists, snooping on their user data and IP addresses to find out when or if certain reporters were sharing the same location as company employees. TikTok later confirmed the incident and ByteDance fired several employees who had improperly accessed the TikTok data of two journalists.

    The circumstances surrounding the incident suggest it was not the type of wide-scale, government-directed intelligence effort that US national security officials primarily fear. Instead, it appeared to be part of a specific internal effort by some ByteDance employees to hunt down leaks to the press, which may be deplorable but hardly uncommon for an organization under public scrutiny. (Nevertheless, the US government is reportedly investigating the incident.)

    Joyce, the NSA’s top cyber official, told reporters in December that what he really worries about is “large-scale influence” campaigns leveraging TikTok’s data, not “individualized targeting through [TikTok] to do malicious things.”

    To date, however, there’s no public evidence of that taking place.

    TikTok may collect an extensive amount of data, much of it quietly, but as far as researchers can tell, it isn’t any more invasive or illegal than what other US tech companies do.

    According to security experts, that’s more a reflection of the broad leeway we’ve given to tech companies in general to handle our data, not an issue that’s unique or specific to TikTok.

    “We have to trust that those companies are doing the right thing with the information and access we’ve provided them,” said Peiter “Mudge” Zatko, a longtime ethical hacker and Twitter’s former head of security who turned whistleblower. “We probably shouldn’t. And this comes down to a concern about the ultimate governance of these companies.”

    Lin told CNN that TikTok and other social media companies’ appetite for data highlights policy failures to pass strong privacy laws that regulate the tech industry writ large.

    “TikTok is only a product of the entire surveillance capitalism economy,” Lin said. “And governments around the world are ignoring their duty to protect citizens’ private information, allowing big tech companies to exploit user information for gain. Governments should try to better protect user information, instead of focusing on one particular app without good evidence.”

    Asked how he would advise policymakers to look at TikTok instead, Lin said: “What I would call for is more evidence-based policy.”

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  • Google suspends Chinese shopping app Pinduoduo over malware | CNN Business

    Google suspends Chinese shopping app Pinduoduo over malware | CNN Business

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    Hong Kong
    CNN
     — 

    Google has suspended Pinduoduo, a popular Chinese budget shopping app, from its Play Store after finding malware in versions of the app.

    In a Tuesday statement, Google said versions of the app that are not in the Play Store have been found to contain malware.

    “We have suspended the Play version of the app for security concerns while we continue our investigation,” a Google spokesperson said.

    It has also enforced Google Play Protect, which scans apps installed on Android phones for harmful behavior, on the allegedly malicious apps, according to the statement.

    “Google Play Protect enforcement has been set to block installation attempts of these identified malicious apps. Users that have malicious versions of the app downloaded to their devices are warned and prompted to uninstall the app,” the spokesperson said.

    In a statement to CNN, Pinduoduo said it was informed by Google Play on Tuesday morning that its app had been “temporarily suspended” because the current version is “not compliant with Google’s Policy.” It said Google Play did not share more details.

    “We are communicating with Google for more information. We have been told that there are several other apps that have been suspended as well,” a Pinduoduo spokesperson said.

    In a later statement Pinduoduo said it strongly rejects “the speculation and accusation that Pinduoduo app is malicious just from a generic and non-conclusive response from Google.”

    It reiterated that “there are several apps that have been suspended from Google Play at the same time.”

    CNN has asked Google for information on whether other apps have also been suspended.

    Malware, short for malicious software, refers to any software developed to steal data or damage computer systems and mobile devices. When hidden in apps, it can be used to gain unauthorized access to information on a user’s phone.

    Pinduoduo is one of China’s most popular e-commerce platforms, with approximately 900 million users. It made its name with a group buying business model, allowing people to save money by enlisting friends to buy the same item in bulk.

    Riding on the domestic success of Pinduoduo, its US-listed parent company PDD last year launched Temu, an online shopping platform in the United States.

    Temu, which runs an online superstore for virtually everything — from home goods to apparel to electronics — has quickly become the most downloaded app in the US for both iOS and Android.

    Since its rollout in September, the app had been downloaded 24 million times as of last month, racking up more than 11 million monthly active users, according to Sensor Tower.

    Google did not mention Temu in its statement. The app is still available to download on the Play Store.

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  • China imports 27 foreign video games as it reopens market to global titles | CNN Business

    China imports 27 foreign video games as it reopens market to global titles | CNN Business

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    Hong Kong
    CNN
     — 

    China has approved 27 foreign video games, including titles to be released by Tencent, NetEase and Bilibili, as it gradually reopens the world’s largest mobile entertainment market to international titles.

    It was the second batch of foreign games to be allowed to enter the Chinese market since December.

    The latest titles include “Seven Deadly Sins: Grand Cross,” a popular global role-playing game from South Korea’s Netmarble, and “Merge Mansion,” a mobile merge game from Finland’s Metacore, according to a list published by the National Press and Publication Administration (NPPA) on Monday.

    Tencent

    (TME)
    will distribute the two games in mainland China.

    NetEase

    (NTES)
    will release “Audition: Everybody Party,” a Chinese version of the hit dancing game “Audition Online,” which was developed by South Korea’s T3 Entertainment.

    Bilibili

    (BILI)
    will publish the localized version of “Uma Musume: Pretty Derby,” a hugely popular franchise from Japan’s Cygames.

    Other Chinese publishers on the list include XD, Yostar and iDreamSky Technology.

    Among the 27 games, seven were made in Japan, followed by five from South Korea.

    Online game stocks pulled higher in Asia on Tuesday.

    In South Korea, shares in Netmarble Corp were up 7%. Devsisters Corp, whose hit game “Cookie Run” was also on the NPPA’s list, soared 15%. Nexon Games, whose popular “Blue Archives” and “MapleStory” were given the greenlight, surged 16%.

    In Hong Kong, Bilibili was up as much as 9.1%. It last jumped 5.4%. XD advanced 2.8%. iDreamSky Technology was up 3.2%.

    “We believe this implies a more supportive regulatory policy towards foreign titles that further support a healthier and normalized development of online gaming industry going forward,” said Citi analysts on Tuesday.

    “We expect there could be two to three more imported batches in 2023, bringing total imported titles to 100 to 120.”

    The NPPA’s move came two months after the iconic “World of Warcraft” franchise went offline in mainland China, after US publisher Blizzard and its Chinese distributor NetEase broke off talks to extend their 14-year partnership. That left many Chinese players devastated.

    The regulator suspended licensing for all video games for nine months from July 2021 to April 2022, as the government launched a far-reaching tech crackdown and introduced stringent measures to cap playing times for minors in order to curb extreme cases of gaming addiction.

    The NPPA lifted the freeze on domestic titles last April, in a sign that Beijing’s crackdown on the tech sector was easing. But foreign games were still unable to access the Chinese market until December, when the regulator finally approved 45 foreign titles, including “Pokémon Unite” by Nintendo and “Valorant” by Riot Games.

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  • The US government is once again threatening to ban TikTok. What you should know | CNN Business

    The US government is once again threatening to ban TikTok. What you should know | CNN Business

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    CNN
     — 

    Nearly two-and-a-half years after the Trump administration threatened to ban TikTok in the United States if it didn’t divest from its Chinese owners, the Biden administration is now doing the same.

    TikTok acknowledged to CNN this week that federal officials are demanding the app’s Chinese owners sell their stake in the social media platform, or risk facing a US ban of the app.

    The new directive comes from the multiagency Committee on Foreign Investment in the United States (CFIUS), following years of negotiations between TikTok and the government body. (CFIUS is the same group that previously forced a sale of LGBTQ dating app Grindr from Chinese ownership back in 2019.)

    The ultimatum from the US government represents an apparent escalation in pressure from Washington as more lawmakers once again raise national security concerns about the app. Suddenly, TikTok’s future in the United States appears more uncertain – but this time, it comes after years in which the app has only broadened its reach over American culture.

    Here’s what you should know.

    Some in Washington have expressed concerns that the app could be infiltrated by the Chinese government to essentially spy on American users or gain access to US user data. Others have raised alarms over the possibility that the Chinese government could use the app to spread propaganda to a US audience. At the heart of both is an underlying concern that any company doing business in China ultimately falls under Chinese Communist Party laws.

    Other concerns raised are not unique to TikTok, but more broadly about the potential for social media platforms to lead younger users down harmful rabbit holes.

    If this latest development is giving you déjà vu, that’s because it echoes the saga TikTok already went through in the United States that kicked off in 2020, when the Trump administration first threatened it with a ban via executive order if it didn’t sell itself to a US-based company.

    Oracle and Walmart were suggested as buyers, social media creators were in a frenzy, and TikTok kicked off a lengthy legal battle against the US government. Some critics at the time blasted then-president Donald Trump’s crusade against the app as political theater rooted in xenophobia, calling out Trump’s unusual suggestion that the United States should get a “cut” of any deal if it forced the app’s sale to an American firm.

    The Biden administration eventually rescinded the Trump-era executive order targeting TikTok, but replaced it with a broader directive focused on investigating technology linked to foreign adversaries, including China. Meanwhile, CFIUS continued negotiations to strike a possible deal that would allow the app to continue operating in the United States. Then scrutiny began to kick up again in Washington.

    Lawmakers renewed their scrutiny of TikTok for its ties to China through its parent company, ByteDance, after a report last year suggested US user data had been repeatedly accessed by China-based employees. TikTok has disputed the report.

    In rare remarks earlier this month at a Harvard Business Review conference, TikTok CEO Shou Chew doubled down on the company’s prior commitments to address the lawmakers’ concerns.

    “The Chinese government has actually never asked us for US user data,” Chew said, “and we’ve said this on the record, that even if we where asked for that, we will not provide that.” Chew added that “all US user data is stored, by default, in the Oracle Cloud infrastructure” and “access to that data is completely controlled by US personnel.”

    TikTok CEO, Shou Zi Chew is interviewed at offices the company uses on Tuesday February 14, 2023 in Washington, DC.(Photo by Matt McClain/The Washington Post via Getty Images)

    As for the concerns that the Chinese government might use the app to spew propaganda to a US audience, Chew emphasized that this would be bad for business, noting that some 60% of TikTok’s owners are global investors. “Misinformation and propaganda has no place on our platform, and our users do not expect that,” he said.

    In response to the CFIUS divestiture request, a TikTok spokesperson told CNN this week that a change in ownership wouldn’t impact how US user data is accessed.

    “If protecting national security is the objective, divestment doesn’t solve the problem,” TikTok spokesperson Maureen Shanahan said in a statement. “A change in ownership would not impose any new restrictions on data flows or access. The best way to address concerns about national security is with the transparent, US-based protection of US user data and systems, with robust third-party monitoring, vetting, and verification, which we are already implementing.”

    TikTok is really only a national security risk insofar as the Chinese government may have leverage over TikTok or its parent company. China has national security laws that require companies under its jurisdiction to cooperate with a broad range of security activities. The main issue is that the public has few ways of verifying whether or how that leverage has been exercised. (TikTok doesn’t operate in China, but ByteDance does.)

    Privacy and security researchers who have looked under the hood at TikTok’s app say that, as far as they can tell, TikTok isn’t much different from other social networks in terms of the data it collects or how it communicates with company servers. That’s still a lot of personally revealing information, but it doesn’t imply that TikTok’s app itself is inherently malicious or a kind of spyware.

    That’s why the concern really focuses on TikTok and ByteDance’s relationship to the Chinese government, and why the Biden administration is pushing for TikTok’s Chinese owners to sell their shares.

    India banned TikTok in the summer of 2020, following a violent border clash between the country and China, in a move that abruptly disconnected the more than 200 million users the app had amassed there.

    While stopping short of banning the app on personal devices, a number of other countries, including the United States, Canada and United Kingdom have recently enacted bans of TikTok on official, government devices.

    Late last year, President Joe Biden signed legislation prohibiting TikTok on federal government devices, and more than half of US states have enacted a similar mandate at the state level. A TikTok spokesperson previously blasted this ban as “little more than political theater.”

    “The ban of TikTok on federal devices passed in December without any deliberation, and unfortunately that approach has served as a blueprint for other world governments,” the spokesperson added.

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  • New Zealand joins US push to curb TikTok use on official phones with parliament ban | CNN Business

    New Zealand joins US push to curb TikTok use on official phones with parliament ban | CNN Business

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    Hong Kong
    CNN
     — 

    New Zealand will ban TikTok on all devices with access to its parliament by the end of this month, becoming the latest country to impose an official bar on the popular social media platform owned by a Beijing-based tech conglomerate.

    Led by the United States, a growing number of Western nations are imposing restrictions on the use of TikTok on government devices citing national security concerns.

    Rafael Gonzalez-Montero, chief executive of New Zealand’s parliamentary service, said in a Friday statement that the risks of keeping the video-sharing app “are not acceptable.”

    “This decision has been made based on our own experts’ analysis and following discussion with our colleagues across government and internationally,” he wrote.

    “On advice from our cyber security experts, Parliamentary Service has informed members and staff the app TikTok will be removed from all devices with access to the parliamentary network,” he added.

    But those who need the app to “perform their democratic duties” may be granted an exception, he said.

    CNN has reached out to TikTok and its Beijing-based owner ByteDance for comment.

    In an email to members of parliament seen by CNN, Gonzalez-Montero told lawmakers that the app would be removed from their corporate devices on March 31, after which they would not be able to re-download it.

    He also instructed legislators to uninstall the app from their private devices adding that failure to comply may render them unable to access the parliamentary network.

    New Zealand lawmaker Simon O’Connor, who is also a co-chair of the Inter-Parliamentary Alliance on China (IPAC), told CNN that he welcomed the decision, calling it “a good one”.

    “I – and IPAC as a whole – have had serious concerns about data privacy for some time,” he said, adding that TikTok’s replies to his previous enquiries about data security had been “unsatisfactory”.

    IPAC is a cross-border group formed by legislators from democratic countries that is focused on relations with China and is often critical of Beijing’s leaders.

    New Zealand’s decision came on the heels of similar actions already taken by its Western allies, despite the country’s track record of a more cautious approach when it comes to dealing with Beijing, in part because China is such a significant trade partner.

    The United States, UK and Canada have ordered the removal of the app from all government phones, citing cybersecurity concerns.

    All three countries are part of the the so-called “Five Eyes” alliance that cooperates with each other on intelligence gathering and sharing. Australia and New Zealand make up the five.

    The Chinese video-sharing app is also barred in all three of the European Union’s main government institutions.

    Tik Tok has become one of the world’s most successful social media platforms and is hugely popular among younger people.

    The short video sharing app has more than 100 million users in the United States alone.

    New Zealand’s latest move came just hours after TikTok acknowledged that the Biden administration had threatened to ban its operation nationwide unless its Chinese owners agreed to spin off their share of the social media platform.

    US officials have raised fears that the Chinese government could use its national security laws to pressure TikTok or its parent company ByteDance into handing over the personal information of TikTok’s US users, which might then benefit Chinese intelligence activities or influence campaigns.

    China has accused the United States of “unreasonably suppressing” TikTok and spreading “false information” about data security.

    FBI Director Christopher Wray told the US Senate Intelligence Committee earlier this month that he feared the Chinese government could use TikTok to sway public opinion in the event that China invaded Taiwan, the self-ruled island that Beijing claims sovereignty over despite never having ruled it.

    TikTok has repeatedly denied posing any sort of security risk and has said it is willing to work with regulators to address any concerns they might have.

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  • What metaverse? Meta says its single largest investment is now in ‘advancing AI’ | CNN Business

    What metaverse? Meta says its single largest investment is now in ‘advancing AI’ | CNN Business

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    CNN
     — 

    Roughly a year-and-a-half after Facebook renamed itself “Meta” and said it would go all-in on building a future version of the internet dubbed the metaverse, the tech giant now says its top investment priority will be advancing artificial intelligence.

    In a letter to staff Tuesday, CEO Mark Zuckerberg announced plans to lay off another 10,000 employees in the coming months, and doubled down on his new focus of “efficiency” for the company. The pivot to efficiency, first announced last month in Meta’s quarterly earnings call, comes after years of investing heavily in growth, including in areas with unproven potential like virtual reality.

    Now, Zuckerberg says the company will focus mostly on cutting costs and streamlining projects. Building the metaverse “remains central to defining the future of social connection,” Zuckerberg wrote, but that isn’t where Meta will be putting most of its capital.

    “Our single largest investment is in advancing AI and building it into every one of our products,” Zuckerberg said Tuesday. He nodded to how AI tools can help users of its apps express themselves and “discover new content,” but also said that new AI tools can be used to increase efficiencies internally by helping “engineers write better code faster.”

    The comments come after what the CEO described as a “humbling wake-up call” last year, as the “world economy changed, competitive pressures grew, and our growth slowed considerably.”

    Meta and its predecessor Facebook have been involved in AI research for years, but the remarks come amid a heightened AI frenzy in the tech world, kicked off in late November when Microsoft-backed OpenAI publicly released ChatGPT. The technology quickly went viral for its ability to generate compelling, human-sounding responses to user prompts and then kicked off an apparent AI arms race among tech companies. Microsoft announced in early February that it was incorporating the tech behind ChatGPT into its search engine, Bing. A day before Microsoft’s announcement, Google unveiled its own AI-powered tool called Bard. And not to be left behind, Meta announced late last month that it was forming a “top-level product group” to “turbocharge” the company’s work on AI tools.

    “I do think it is a good thing to focus on AI,” Ali Mogharabi, a senior equity analyst at Morningstar, told CNN of Zuckerberg’s comments. Mogharabi said Meta’s investments in AI “has benefits on both ends” because it can improve efficiency for engineers creating products, and because incorporating AI features into Meta’s lineup of apps will potentially create more engagement time for users, which can then drive advertising revenue.

    And in the long run, Mogharabi said, “A lot of the investments in AI, and a lot of enhancements that come from those investments in AI, could actually be applicable to the entire metaverse project.”

    But Zuckerberg’s emphasis on investing in AI, and using the buzzy technology’s tools to make the company more efficient and boost its bottom line, is also “what the shareholders and the market want to hear,” Mogharabi said. Many investors had previously griped at the company’s metaverse ambitions and spending. In 2022, Meta lost more than $13.7 billion in its “Reality Labs” unit, which houses its metaverse efforts.

    And investors appear to welcome Zuckerberg’s shift in focus from the metaverse to efficiency. After taking a beating in 2022, shares for Meta have surged more than 50% since the start of the year.

    Angelo Zino, a senior equity analyst at CFRA Research, said on Tuesday that the second round of layoffs at Meta “officially make us convinced that Mark Zuckerberg has completely switched gears, altering the narrative of the company to one focused on efficiencies rather than looking to grow the metaverse at any cost.”

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  • FBI says $10 billion lost to online fraud in 2022 as crypto investment scams surged | CNN Politics

    FBI says $10 billion lost to online fraud in 2022 as crypto investment scams surged | CNN Politics

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    CNN
     — 

    More than $10 billion in losses from online scams were reported to the FBI in 2022, the highest annual loss in the last five years, according to a new report from the bureau.

    The more than $3 billion jump in reports of online fraud from 2021 to 2022 was driven by a near-tripling in reports of cryptocurrency investment fraud, the FBI said in its annual Internet Crime Report.

    The report tallies a wide variety of fraud complaints – from marketing scams to ransomware – and is a metric for US policymakers in measuring how much hacking and other schemes are costing the American economy.

    While people in their 30s filed the most fraud complaints last year, the burden of many digital scams fell on the elderly. People over 60 accounted for $724 million, or more than two-thirds of the reported losses from “call center fraud,” according to the FBI. Such fraud occurs when scammers call someone impersonating tech support or government agencies.

    Ransomware, which locks computers until hackers are paid off, accounted for about $34 million in adjusted losses reported to the FBI last year. The relatively modest figure compared to other forms of fraud could be due to the fact that many victim organizations still do not report ransomware attacks to the FBI.

    A popular type of ransomware called Hive was used in 87 attacks last year, according to the FBI. The bureau seized Hive operatives’ computer infrastructure earlier this year, but not before hackers affiliated with the ransomware extorted more than $100 million from hospitals, schools and other victims around the world.

    While ransomware tends to get the headlines, a different hacking scheme known as business email compromise (BEC) leads to far more money stolen from victims in aggregate. A BEC scheme typically involves someone tricking a victim into wiring them money, often by impersonating a customer or a relative.

    One of the more high-profile examples of BEC fraud last year cost the city of Lexington, Kentucky, about $4 million in federal funding for housing assistance.

    BEC scams accounted for about $2.7 billion in adjusted losses in 2022, compared to about $2.4 billion in 2021, according to FBI data.

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  • Judge orders former Trump adviser Peter Navarro to turn over emails from his private account said to be White House records | CNN Politics

    Judge orders former Trump adviser Peter Navarro to turn over emails from his private account said to be White House records | CNN Politics

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    CNN
     — 

    A federal judge has ordered former Donald Trump adviser Peter Navarro to turn over to the US government certain emails from his time at the White House, granting the Justice Department a victory in a civil lawsuit the department brought against the ex-trade adviser.

    US District Judge Colleen Kollar-Kotelly said that the emails in question – from a non-official email account Navarro used at the time – were covered under the Presidential Records Act.

    “It bears note that under the PRA Dr. Navarro’s obligation to copy from or forward from his personal account to the official account was ‘no later than’ twenty (20) days after the original creation or transmission,” she wrote. “Plainly, he did neither during his tenure in the White House, nor has he forwarded Presidential record emails in the years since.”

    She rejected Navarro’s arguments that producing the emails would put at risk his Fifth Amendment right against self-incrimination, as well other arguments Navarro made in the case.

    Navarro was ordered by the judge to immediately produce 200 to 250 emails that his lawyers had found when they had done a search, using search terms provided by the the National Archives and Records Administration, of his emails last summer. The Archives had asked him to prioritize the emails that had come up with those search terms.

    The judge also ordered that Navarro and the government meet within 30 days to come up with a plan for identifying and turning over the other emails that should be produced under the PRA. She is asking for a status report to be filed by seven days after the parties meet.

    When it filed the lawsuit, the Justice Department said that the National Archives had become aware of the emails on Navarro’s private account because of a House investigation into the Trump administration’s response to the Covid-19 pandemic.

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  • Facebook tests bringing back in-app messaging features as it competes with TikTok | CNN Business

    Facebook tests bringing back in-app messaging features as it competes with TikTok | CNN Business

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    New York
    CNN
     — 

    Nearly a decade after Facebook angered some users by splitting off messaging features from its flagship social networking application and forcing people to download a separate app to chat with friends, the company is now testing out reversing the move.

    In an interview with CNN, Facebook head Tom Alison said the platform is testing bringing messaging capabilities back to the Facebook app so users can more easily share content without having to use the Messenger app. The test comes as Facebook looks to beat back competition from TikTok by bolstering its position both as a platform to discover new content and discuss it.

    “We believe that content feeds into not just you consuming it but being conversation starters and starting that message thread with your friends or being something that you can share into a group of people who share your same interests,” Alison said. “I think the thing that will differentiate Facebook and Instagram from TikTok and others is just the depth of being able to start a conversation with your friends from this content and have that kind of social dimension.”

    The move, which Alison also announced in a blog post Tuesday, comes after Facebook revised its strategy last year amid concerns about a stagnant and aging user base. No longer would the platform simply be about connecting friends and family. Instead, founder Mark Zuckerberg wanted Facebook to become a “discovery engine.”

    Facebook redesigned its home feed to surface more entertaining posts from across the platform, with AI-powered content recommendations, rather than just showing posts from those specifically in a user’s network. (A new, separate tab fulfilled the desire for the latter.) The goal was clear: to keep users engaged longer and help the platform better compete with TikTok and its steady stream of recommended content.

    Nine months later, that shift has begun to pay off, Alison told CNN. The platform last month reported that it hit 2 billion daily active users in the December quarter.

    “A lot of the narrative leading up to this has been that Facebook is in decline or Facebook’s best days are behind it,” Alison said, “and part of what we’re trying to do with this milestone is say, ‘hey, look, that’s actually not true.”

    There have been no shortage of rumors of Facebook’s demise over the years, from its admission of having a “teen problem” a decade ago to the more recent series of PR debacles for the social network and its parent company, Meta. TikTok’s rapid rise and even the success of Facebook’s sister service, Instagram, have also taken some of the shine off the aging social network Zuckerberg launched in a dorm room nearly 20 years ago. But its audience has resumed growing, for now.

    Alison, who has been in charge of the Facebook app since July 2021, said the introduction of the “discovery engine” strategy is just the beginning of a larger shift for the platform, as Facebook works to forge a path to continued growth and relevance over the next two decades.

    “For the last almost 20 years … we’ve been really known for friends and family, but over the next 20 years, what we’re really working toward is being known for social discovery,” he said. “It’s going to be about helping you connect with the people that you know, the people that you want to know and the people that you should know.”

    While Facebook and Instagram have struggled in their attempts to keep pace with TikTok, including through copycat features like Reels, Alison argues Facebook has a leg up on TikTok thanks to its roots in helping people connect with their networks.

    For some creators, for example, Facebook has become a place to create groups of fans and hold conversations beyond the content they share to Instagram and TikTok, Alison said. “I think it’s helping them get closer to their fans on Facebook in a way they can’t do on other platforms.”

    As Facebook plots its evolution, it will have to contend with what Zuckerberg has called the company’s “year of efficiency,” an effort to cut costs after a broader reckoning in the tech industry and investor skepticism around its pricey plan to center its business model around the future version of the internet it calls the metaverse.

    “One of the things that we are embracing with the year of efficiency is prioritization and, frankly, just focusing more effort on some of our bigger bets,” Alison said. The platform has over the past year shuttered some smaller efforts, such as its Bulletin newsletter subscription service, in favor of investing in key areas like AI. “That’s a lot of the culture that we’re kind of instituting across Meta is just like, how do we do fewer things better? And how do we do them, sometimes, more quickly? Efficiency is not just about cost savings.”

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  • Why you’re about to see ChatGPT in more of your apps | CNN Business

    Why you’re about to see ChatGPT in more of your apps | CNN Business

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    CNN
     — 

    Prepare to see ChatGPT responses in even more places.

    OpenAI is opening up access to its ChatGPT tool to third-party businesses, paving the way for the viral AI chatbot to be integrated into numerous apps and services.

    The company on Wednesday said developers can now access ChatGPT’s application programming interface, or API, which will allow companies to integrate the tool’s chat functionality and answers into their platforms. Instacart, Snap and tutor app Quizlet are among the early partners experimenting with adding ChatGPT.

    The move comes three months after OpenAI publicly released ChatGPT and stunned many users with the tool’s impressive ability to generate original essays, stories and song lyrics in response to user prompts. The initial wave of attention on the tool helped renew an arms race among tech companies to develop and deploy similar AI tools in their products.

    The initial batch of companies tapping into OpenAI’s API each have slightly different visions for how to incorporate ChatGPT. Taken together, however, these services may test just how useful AI chatbots can really be in our everyday life and how much people want to interact with them for customer service and other uses across their favorite apps.

    Snap, the company behind Snapchat, plans to offer a customizable chatbot that offers recommendations, helps users make plans or even writes a haiku in seconds. Quizlet, which has more than 60 million students using the service, is introducing a chatbot that can ask questions based on study materials to help students prepare for exams.

    Shopify’s consumer app, Shop, and Instacart are both launching chatbots that could help inform customers’ shopping decisions. Instacart plans to use the tool to allow users to ask questions such as “How do I make great fish tacos?” or “What’s a healthy lunch for my kids?” Instacart also plans to launch an “Ask Instacart” chatbot later this year.

    There is clearly demand for other businesses to follow suit. Dating website OkCupid has already experimented with using ChatGPT to write matching questions. Other companies like Fanatics have previously expressed interest in using similar technology to power a customer service chatbot.

    “With the level of user interest and use, companies don’t want to be left behind, so there’s a base incentive to embrace new tech to remain competitive,” said Michael Inouye, an analyst at ABI Research. “If users engage more with a service that means more data for advertising, marketing of goods and services, and potentially stronger customer relationships.”

    There are some risks, however. Although ChatGPT has gained significant traction among users, it has also raised some concerns, including about its potential to perpetuate biases and spread misinformation. Some school systems, such as in New York and Seattle, banned the use of ChatGPT in the classroom over concerns about students cheating. And JPMorgan Chase is temporarily clamping down on employee use due to limits on third-party software due to compliance concerns.

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  • Chinese city claims to have destroyed 1 billion pieces of personal data collected for Covid control | CNN

    Chinese city claims to have destroyed 1 billion pieces of personal data collected for Covid control | CNN

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    Hong Kong
    CNN
     — 

    A Chinese city says it has destroyed a billion pieces of personal data collected during the pandemic, as local governments gradually dismantle their coronavirus surveillance and tracking systems after abandoning the country’s controversial zero-Covid policy.

    Wuxi, a manufacturing hub on China’s eastern coast and home to 7.5 million people, held a ceremony Thursday to dispose of Covid-related personal data, the city’s public security bureau said in a statement on social media.

    The one billion pieces of data were collected for purposes including Covid tests, contact tracing and the prevention of imported cases – and they were only the first batch of such data to be disposed, the statement said.

    China collects vast amounts of data on its citizens – from gathering their DNA and other biological samples to tracking their movements on a sprawling network of surveillance cameras and monitoring their digital footprints.

    But since the pandemic, state surveillance has pushed deeper into the private lives of Chinese citizens, resulting in unprecedented levels of data collection. Following the dismantling of zero-Covid restrictions, residents have grown concerned over the security of the huge amount of personal data stored by local governments, fearing potential data leaks or theft.

    Last July, it was revealed that a massive online database apparently containing the personal information of up to one billion Chinese citizens was left unsecured and publicly accessible for more than a year – until an anonymous user in a hack forum offered to sell the data and brought it to wider attention.

    In the statement, Wuxi officials said “third-party audit and notary officers” would be invited to take part in the deletion process, to ensure it cannot be restored. CNN cannot independently verify the destruction of the data.

    Wuxi also scrapped more than 40 local apps used for “digital epidemic prevention,” according to the statement.

    During the pandemic, Covid apps like these dictated social and economic life across China, controlling whether people could leave their homes, where they could travel, when businesses could open and where goods could be transported.

    But following the country’s abrupt exit from zero-Covid in December, most of these apps faded from daily life.

    On December 12, China scrapped a nationwide mobile tracking app that collected data on users’ travel movements. But many local pandemic apps run by the municipal or provincial governments, such as the ubiquitous Covid health code apps, have remained in place – although they are no longer in use.

    Wuxi claims to be the first municipality in China to have destroyed Covid-related personal data from citizens. On Weibo, China’s Twitter-like platform, users called for other local governments to follow suit.

    Yan Chunshui, deputy head of Wuxi’s big data management bureau, said the disposal was meant to better protect citizens’ privacy, prevent data leaks and free up data storage space.

    Kendra Schaefer, the head of tech policy research at the Beijing-based consultancy Trivium China, said the data collection related to local-level Covid apps was often messy, and those apps were difficult and expensive to manage for local governments.

    “Considering the cost and difficulty managing such apps, coupled with concerns expressed by the public over data security and privacy – not to mention the political win local governments get by symbolically putting zero-Covid to bed – dismantling those systems is par for the course,” Schaefer said.

    In many cases, she added, the big data departments at local governments were overwhelmed dealing with Covid data, so scaling back simply makes sense economically.

    “Many cities have not yet deleted their Covid data – or have not done so publicly – not because I believe they intend to keep it, but because it simply hasn’t been that long since zero-Covid was halted,” Schaefer said.

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  • World’s biggest plane flies again in Microsoft Flight Simulator | CNN

    World’s biggest plane flies again in Microsoft Flight Simulator | CNN

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    Editor’s Note: Sign up for Unlocking the World, CNN Travel’s weekly newsletter. Get news about destinations opening and closing, inspiration for future adventures, plus the latest in aviation, food and drink, where to stay and other travel developments.



    CNN
     — 

    A year after it was destroyed during the Russian invasion of Ukraine, the Antonov AN-225 – the world’s biggest commercial plane – has taken flight once again in the Microsoft Flight Simulator program.

    The game has already resurrected lots of historical aircraft in its virtual skies, but this one’s a little special. All proceeds from the $19.99 add-on go toward the Antonov Company’s real-life efforts to reconstruct the mighty beast known as “Mriya” (Ukrainian for “dream”).

    The massive six-engine craft – some 275 feet, 7 inches in length – was built in the 1980s to carry the Soviet space shuttle and was the only one of its kind ever completed.

    Mriya’s next role was as the world’s largest cargo transporter, boasting twice the hold capacity of a Boeing 747 jumbo jet. Its wingspan was 290 feet, the longest of any fully operational aircraft, and with a maximum payload weight of 250 tonnes, it remains the heaviest aircraft ever built.

    The Antonov AN-225 was destroyed at its base in Hostomel, near Kyiv, in February 2022, but in November last year its manufacturers confirmed that the rebuilding project had begun. Antonov estimated that it would need more than €500 million ($532 million) to get it back in the air.

    “The process of rebuilding ‘Mriya’ is considered as an international project, with the participation of aviation enterprises of different countries of the world,” the Antonov Company told CNN via email at the time.

    “The possibility of attracting funding from various sources is being considered and proposals from many organizations that are ready to join the project are being reviewed.”

    The Microsoft Flight Simulator version of the Antonov AN-225 Mriya comes in six liveries, including classic Antonov Airlines designs and an Xbox Aviators Club one.

    The add-on is available now in the Microsoft Flight Simulator in-game marketplace on PC for $19.99 and will be available for Xbox Series X|S and on Xbox Cloud Gaming starting in late March.

    The much-loved flight simulator game celebrated its 40th anniversary in November 2022, having gone through a major reboot in 2020 when it returned with hyper-realistic scenery, digitally distilled from satellite imagery.

    The An-225 is powered by six turbo engines, as seen in this gameplay.

    In-game pilots can explore the world, flying over a range of 1.5 billion buildings, two million cities, and stopping in at more than 37,000 airports. That’s in real-world conditions too, day or night: the program features live real-time weather including wind speed and direction, temperature, lighting, humidity and rain.

    Individualized instrument guidance and checklists are available for the wide variety of aircraft pilots can test their skills in, from light aircraft to commercial jets.

    Mriya fans can also support the rebuild efforts by building their own models of the iconic craft. Ukrainian startup Metal Time is selling working mechanical design kits of the AN-225 for $99.

    Profits go straight to Antonov to fund the reconstruction, as well as the rehousing of Antonov employees whose homes have been destroyed by the Russian invasion, and training for new Ukrainian pilots and aviation engineers.

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  • EU bans TikTok from official devices across all three government institutions | CNN Business

    EU bans TikTok from official devices across all three government institutions | CNN Business

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    Paris/London
    CNN
     — 

    The European Parliament on Tuesday banned TikTok from staff devices over cybersecurity concerns, meaning the Chinese video-sharing app is now barred in all three of the EU’s main institutions.

    “In view of cybersecurity concerns, in particular regarding data protection and collection of data by third parties, the European Parliament has decided, in alignment with other institutions, to suspend as from 20 March 2023, the use of the TikTok mobile application on corporate devices,” it said in a statement.

    The parliament also “strongly recommended” that its members and staff remove TikTok from their personal devices.

    TikTok, which is owned by Beijing-based ByteDance, told CNN “it’s disappointing to see that other government bodies and institutions are banning TikTok on employee devices with no deliberation or evidence.”

    “These bans are based on basic misinformation about our company, and we are readily available to meet with officials to set the record straight about our ownership structure and our commitment to privacy and data security. We share a common goal with governments that are concerned about user privacy, but these bans are misguided and do nothing to further privacy or security,” a spokesperson said in a statement.

    “We appreciate that some governments have wisely chosen not to implement such bans due to a lack of evidence that there is any such need.”

    Last week, the European Commission announced it was banning TikTok from official devices, citing cybersecurity concerns.

    A senior EU official in the European Council told CNN that the General Secretariat of the Council, the body that assists the permanent representatives of the EU’s 27 countries based in Brussels, “is in the process of implementing measures similar to those taken by the Commission.”

    “It will be uninstalling the application on corporate devices and requesting staff to uninstall it from personal mobile devices that have access to corporate services,” the official added. “The Secretariat continuously keeps its cybersecurity measures under review in close cooperation with the other EU institutions.”

    The European Commission said last week their decision to ban TikTok applies only to devices overseen by the EU’s executive branch.

    “This measure aims to protect the Commission against cybersecurity threats and actions which may be exploited for cyber-attacks against the corporate environment of the Commission,” it said in a statement.

    A TikTok spokesperson told CNN in a statement at the time that it had contacted the commission to “set the record straight and explain how we protect the data of the 125 million people across the EU who come to TikTok every month.”

    Previously, TikTok had disclosed to European users that China-based employees may access EU user data. The company also recently announced plans to open two new data centers in Europe.

    TikTok is facing similar scrutiny across the Atlantic.

    On Monday, the White House directed federal agencies to remove TikTok from all government-issued devices within 30 days, with few exceptions.

    The move added to growing efforts by the United States to clampdown on the app amid renewed security concerns.

    US officials have raised concerns that the Chinese government could pressure ByteDance to hand over information collected from users that could be used for intelligence or disinformation purposes. As CNN has previously reported, independent security experts have said that type of access is a possibility, though there has been no reported incident of such access to date.

    Brooke Oberwetter, a TikTok spokesperson, called the ban “little more than political theater.”

    “The ban of TikTok on federal devices passed in December without any deliberation, and unfortunately that approach has served as a blueprint for other world governments,” Oberwetter said in a statement.

    “We hope that when it comes to addressing national security concerns about TikTok beyond government devices, Congress will explore solutions that won’t have the effect of censoring the voices of millions of Americans.”

    China also hit back at the decision Tuesday, with a Foreign Ministry spokesperson accusing Washington of “generalizing the concept of national security” and “unreasonably suppressing enterprises of other countries.”

    The Canadian government announced a similar ban on TikTok from official electronic devices on Monday.

    Other nations may soon have to grapple with the same issue.

    Asked whether Australia would soon follow the United States, European Union and Canada, Australian Treasurer Jim Chalmers said the country hadn’t yet been advised to restrict use of the app by government workers.

    “We’ll take the advice of our national security agencies. That hasn’t been the advice to date,” Chalmers told Australia’s ABC broadcaster in an interview on Wednesday.

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  • Microsoft Windows 11 update puts AI front and center | CNN Business

    Microsoft Windows 11 update puts AI front and center | CNN Business

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    CNN
     — 

    Microsoft will roll out on Tuesday an update to Windows 11 that puts its new AI-powered Bing capabilities front and center on its taskbar, one of the operating system’s most widely used features, in the latest sign the company is doubling down on the buzzy technology despite some recent controversy.

    With the update, the AI tool will be accessible from the Windows search box, which allows users to directly access files, settings and perform web queries. The search bar has more than half a billion users every month, according to the company, making it prime real estate for eventually exposing more users to the new feature. (A preview version of the AI tool remains available on a limited basis.)

    Earlier this month, Microsoft said it was looking for ways to rein in Bing’s AI chatbot after users highlighted responses that ranged from inaccurate to emotionally reactive. Despite such early hiccups, the company told CNN “as a whole, we are feeling very good about the product experience for people” and continues to learn from feedback.

    “AI itself is reinventing right now … and it’s just the beginning,” Panos Panay, Microsoft’s chief product officer, told CNN ahead of Tuesday’s launch. He likened the AI changes coming to the PC to how the keyboard and mouse changed the way we interact with computers.

    However, only users of the new Bing preview will have access to its additional AI capabilities out of the gate. The company will continue to add users to the preview who have signed up for the new Bing waitlist. “We want to thoughtfully and responsibly scale it up,” Panay said.

    Last year, Microsoft unveiled several AI-powered Windows 11 features, such as quieting background noise like lawnmowers and baby cries on video calls and automatic framing so the camera follows the speaker’s movements. It also automated some of its accessibility tools, such as live video captions.

    Its efforts around AI have only grown. Earlier this year, Microsoft confirmed it is making a “multibillion dollar” investment in OpenAI, the company behind the viral AI chatbot tool ChatGPT. Microsoft launched its AI chatbot tool in early February; one million people have since tried it out in 169 countries, according to Microsoft. The company has since expanded it to the Bing and Edge browser mobile apps and Skype.

    But adding it to the Windows’ search bar is a high vote of confidence from the company and reflects its greater effort to “go all-in on AI,” according to Patrick Moorhead, president and principal analyst at Moore Insights and Strategy.

    The Bing integration is just one of several notable updates coming to Windows 11. Microsoft is also taking steps to improve the Windows experience for Apple and Samsung users.

    Apple users will now be able to receive iOS alerts and messages directly on their Windows 11 devices, potentially chipping away at Apple’s closed ecosystem. (Android users have been able to receive messages on Windows devices since 2018.) The new iOS support does not, however, work with replying to group iMessages or sending media such as photos and videos in messages.

    Microsoft said its move to add iOS messages to PCs was not done directly in partnership with Apple; instead it’s done via Bluetooth technology. Moorhead said Apple “has been very reticent to open up its iMessage APIs to vendors like Microsoft, which could improve the Windows experience.”

    “This is what customers need and want, so we went and designed it to make sure it was in there for our users on the Microsoft side,” Panay said. “I know our customers need their iPhones to work on their PC, and I [want] to do everything I can to help them do that.”

    For Samsung device users, Microsoft is making it easier to activate their phone’s personal hotspot with a single click from within the Wi-Fi network list on their PC. It’s also adding a Recent Websites feature that allows users to transfer their browser sessions from their smartphone to their Windows PC.

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  • Top US cyber official warns software firms aren’t doing enough to stop damage from hackers from China and elsewhere | CNN Politics

    Top US cyber official warns software firms aren’t doing enough to stop damage from hackers from China and elsewhere | CNN Politics

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    Washington
    CNN
     — 

    Chinese hackers are too frequently going “unidentified and undeterred,” and software companies aren’t doing enough to secure their products from cyber-attacks that “can do real damage” to US interests through the loss of trade secrets, a top US cyber official said Monday.

    “The risk introduced to all of us by unsafe technology is frankly much more dangerous and pervasive than the spy balloon, but somehow we’ve allowed ourselves to accept it,” US Cybersecurity and Infrastructure Security Agency Director Jen Easterly said in a speech at Carnegie Mellon University.

    Easterly was referring to a suspected Chinese surveillance balloon that flew over multiple US states before the US military shot it down on February 4. The episode has increased tensions in US-China relations and caused US Secretary of State Antony Blinken to postpone a trip to Beijing.

    Easterly’s speech reflects frustration from US officials that major software programs used by millions of people are routinely released with gaping flaws that can be exploited by hackers. After a series of high-profile hacks, the Biden administration introduced cybersecurity regulations for sectors such as pipelines. US officials have not ruled out more regulation in an effort to raise defenses.

    While the balloon caused a public uproar, cybersecurity officials from across the US government have been warning for years that China has been quietly amassing US government and corporate secrets through hacking. Beijing denies the allegations.

    The alleged Chinese cyber espionage campaigns have often exploited wildly popular software that has allowed them a foothold into US government agencies and corporations alike. In late 2021, for example, suspected hackers used a popular password management software to breach multiple US defense contractors, according to researchers.

    Easterly, who spent years working on offensive cyber operations with the US National Security Agency, said the frequent hacks of US organizations by China and other foreign governments and criminal groups are merely a “symptom” rather than a cause of US insecurity in cyberspace.

    The bigger problem, she said, is that too many major software makers are not designing their products mores securely and making it easy on the user to maintain that security.

    Easterly did not single out specific companies for poor software design, but instead cited statistics from Twitter and Microsoft saying just a fraction of users or enterprise customers are using an extra layer of security when signing into their accounts.

    “[T]he burden of safety should never fall solely upon the customer,” Easterly said. “Technology manufacturers must take ownership of the security outcomes of their customers.”

    She called on technology manufacturers to “embrace radical transparency” by sharing more of their software design plans publicly so they can be scrutinized by experts.

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  • Ransomware attack on US Marshals Service affects ‘law enforcement sensitive information’ | CNN Politics

    Ransomware attack on US Marshals Service affects ‘law enforcement sensitive information’ | CNN Politics

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    CNN
     — 

    A ransomware attack on the US Marshals Service has affected a computer system containing “law enforcement sensitive information,” including personal information belonging to targets of investigations, a US Marshals Service spokesperson said Monday evening.

    “The affected system contains law enforcement sensitive information, including returns from legal process, administrative information, and personally identifiable information pertaining to subjects of USMS investigations, third parties, and certain USMS employees,” spokesperson Drew Wade said in a statement.

    The Marshals Service, which handles federal prisoners across the US and pursues fugitives, discovered the hack and theft of data from its network on February 17. The service “disconnected the affected system, and the Department of Justice initiated a forensic investigation,” Wade said in the statement.

    The Justice Department subsequently determined it “constitutes a major incident,” according to the statement. A “major incident” is a hack that is significant enough that it requires a federal agency to notify Congress.

    A senior official familiar with the matter told CNN that no data related to the witness protection program was obtained during the incident.

    The Justice Department’s investigation into the incident is ongoing.

    NBC News first reported on the incident.

    It’s at least the second significant malicious cyber incident to affect US federal law enforcement agencies in February.

    The FBI had to move to contain malicious activity on part of its computer network earlier this month, CNN first reported at the time. FBI officials believe that incident involved an FBI computer system used in investigations of images of child sexual exploitation, two sources briefed on the matter told CNN.

    There was no immediate indication that the US Marshals Service and FBI cyber incidents were related.

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  • Student attacks school employee after Nintendo Switch taken away | CNN

    Student attacks school employee after Nintendo Switch taken away | CNN

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    CNN
     — 

    A Florida high school student has been arrested after a video showed him attacking a school employee after she took away his Nintendo Switch device, according to the Flagler County Sheriff’s Office.

    The Matanzas High School student has been charged with felony aggravated battery with bodily harm, the sheriff’s office said in a news release.

    The 17-year-old was taken into custody after the February 21 incident in Palm Coast and taken to the Sheriff Perry Hall Inmate Detention Facility. He was then turned over to the state Department of Juvenile Justice, according to the news release.

    According to an arrest report, the teen stated he was upset because the employee had taken his Nintendo Switch device away and that he would “beat her up” every time she took away his game.

    Surveillance video shows the student, who the sheriff’s office says is about 6 feet, 6 inches tall and about 270 lbs, running towards the employee and knocking her to the ground.

    The employee appears motionless as the student punches and kicks her several times before onlookers pulled him away from her.

    The employee was taken to an area hospital for treatment.

    “The actions of this student are absolutely horrendous and completely uncalled for,” Sheriff Rick Staly said in the release. “We hope the victim will be able to recover, both mentally and physically, from this incident. Thankfully, students and staff members came to the victim’s aid before the [school resource deputies] could arrive. Our schools should be a safe place – for both employees and students.”

    The arrest report said the teen was “becoming violent” while speaking to them after the incident and had to be taken to another location.

    “Creating a safe learning and working environment on our campuses is critical. Violence is never an appropriate reaction,” Flagler Coundy Schools Superintendent Cathy Mittelstadt said in the sheriff’s office’s media release,

    Flagler County Schools on Saturday said that out of respect for their employee’s privacy, it would not comment on her medical condition at this time.

    CNN left a phone message with the family of the student but has not heard back.

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  • Vanderbilt University apologizes for using ChatGPT to write mass-shooting email | CNN Business

    Vanderbilt University apologizes for using ChatGPT to write mass-shooting email | CNN Business

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    New York
    CNN
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    Vanderbilt University’s Peabody School has apologized to students for using artificial intelligence to write an email about a mass shooting at another university, saying the distribution of the note did not follow the school’s usual processes.

    Last Friday, the Tennessee-based school emailed its student body to address the tragedy at Michigan State that killed three students and injured five more people: “The recent Michigan shootings are a tragic reminder of the importance of taking care of each other, particularly in the context of creating inclusive environments,” reads the letter in part, as first reported by the Vanderbilt Hustler, a student newspaper.

    At the end of the school’s email was a surprising line: “Paraphrase from OpenAI’s ChatGPT AI language model, personal communication, February 15, 2023,” read a parenthetical in smaller font.

    Following an outcry from students about the use of AI to write a letter about community during human tragedy, the associate dean of Peabody sent an apology note the next day. Nicole Joseph, one of the three signatories of the original letter, called using ChatGPT “poor judgment,” according to the Vanderbilt Hustler.

    On Tuesday, Vanderbilt said Joseph and assistant dean Hasina Mohyuddin, another signer of the email, have stepped back from their responsibilities while the school conducts a complete review.

    “The development and distribution of the initial email did not follow Peabody’s normal processes providing for multiple layers of review before being sent. The university’s administrators, including myself, were unaware of the email before it was sent,” according to a statement Tuesday to CNN from Camilla P. Benbow, the Patricia and Rodes Hart Dean of Education and Human Development.

    Since it was made available in late November, ChatGPT has been used to generate original essays, stories and song lyrics in response to user prompts. It has drafted research paper abstracts that fooled some scientists. Some CEOs have even used it to write emails or do accounting work.

    While it has gained traction among users, it has also raised some concerns, including about inaccuracies, its potential to perpetuate biases and spread misinformation, and the ability to help students cheat.

    Vanderbilt’s letter also included reference to “recent Michigan shootings,” though only one occurred.

    “As dean of the college, I remain personally saddened by the loss of life and injuries at Michigan State, which I know have affected members of our own community,” Benbow said. “I am also deeply troubled that a communication from my administration so missed the crucial need for personal connection and empathy during a time of tragedy.”

    Rachael Perrotta, editor in chief of the Vanderbilt student newspaper, said that students told her “they are outraged about this situation and confused as to what prompted administrators to turn to ChatGPT to write their message about the Michigan State shooting.”

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  • European Commission bans TikTok from official devices | CNN Business

    European Commission bans TikTok from official devices | CNN Business

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    Washington/London
    CNN
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    The European Commission has banned TikTok from official devices because of concerns about cybersecurity, a move sharply criticized by the company in its latest run-in with Western governments over how it handles user data.

    Commission staff have until March 15 to delete the short-form video app, owned by China’s ByteDance, from work devices and any personal devices that use Commission apps and services.

    Based in Brussels, the European Commission is the executive arm of the European Union, responsible for proposing and enforcing legislation and implementing the EU budget. It employs around 32,000 permanent and contract workers.

    “This measure aims to protect the Commission against cybersecurity threats and actions which may be exploited for cyberattacks against the corporate environment of the Commission,” the Commission said in a statement Thursday.

    European Commission spokesperson Sonya Gospodinova told reporters that the ban was “temporary” and “under constant review and possible reassessment.”

    A second spokesperson, Eric Mamer, added: “But we’re not going to say here what is necessary or not in order for the suspension to be lifted.”

    The measure piles further pressure on TikTok, already banned from US federal government devices and from official devices in some US states due to fears that the app’s user data could wind up in the hands of the Chinese government.

    Previously, TikTok has disclosed to European users that China-based employees may access EU users’ data.

    But on Thursday the company pushed back against the ban, calling it “misguided and based on fundamental misconceptions.”

    In a statement shared with CNN, a spokesperson said TikTok had contacted the Commission to “set the record straight and explain how we protect the data of the 125 million people across the EU who come to TikTok every month.”

    “We’re continuing to enhance our approach to data security, including by establishing three data centers in Europe to store user data locally; further reducing employee access to data; and minimizing data flows outside of Europe,” the spokesperson added.

    The company has previously said it is working on a program to safeguard US user data in response to policymakers’ concerns.

    In August, the Financial Times reported that the UK parliament had shut down its TikTok account just one week after it was launched after lawmakers raised concerns that Beijing uses the app as spyware.

    — Eve Brennan contributed reporting.

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